Short Lease and other queries

devotee

seven-day-weekend wrote: »

http://www.findaproperty.com/display...=0&pid=9142940

We have viewed this flat, it is lovely, and has all the kitchen appliances, curtains and carpets too. 60-year-lease according to the EA. He says he has a copy of it, so we can check that out.

The flat needs hardly anything done to it, just tweaking. It has been for sale for over a year, price has recently been reduced.

Let's hope it stays unsold now until we are in position to make an offer!

Good luck to you! Did you find out how much will it cost to extend the lease?

seven-day-weekend

We were told about £10k by another resident who has done it.

cuthbert_the_octopus

If you are seriously interested I would ask the vendor to ask the freeholder for a quote to extend the lease, and include this in the purchase of the flat - the reason being, once in, you can not extend the lease for 2 years (and in this time the price will increase), and the price quoted to one flat, may not be the same for another flat.

£10k seems quite cheap to me, and remember you will also have to pay for 2 sets of solicitors when extending the lease.


Extension of the lease on the 'cheap' flat, may actually be more expensive than buying the flat with the lease extention and having to redecorate /renovate.

seven-day-weekend

Thanks for the advice, octopus, we will mention it to our solicitor when we are in a position to make an offer .

seven-day-weekend

OK...the short list is between two flats:

http://www.rightmove.co.uk/property-for-sale/property-27012292.html £72,500.
The one beneath the one advertised in this link (the one advertised is sold). It needs new windows, new flooring, three new storage heaters, kitchen needs updating and fitted with appliances, and it has no garage. However it has 90 years lease remaining. (This is the original flat I asked about - turns out the lease has been renewed


However we like this one better :
http://www.rightmove.co.uk/property-for-sale/property-23793520.html £69950
which needs one new storage heater,a new water tank. It is fully double glazes, carpeted and curtained, has kitchen appliances, is in a nicer part of the development than the first one and has a garage .... but only has 66 years on the lease.

Is the longer lease worth the extra money (both asking price and what we will have to spend on the flat)?

Which in your opinion is the best one to buy?

Thanks

Jeffrey_Shaw

Do not buy the 66yr. leasehold unless V [vendor] can- on the leasehold sale completion date- synchronise it with the grant by L [landlord] of a statutory 90yr. lease extension. V will have the right to this IF V has owned for at least for two years.

Plus a lease with only 66yrs. unexpired would not be acceptable to your mortgagee.

seven-day-weekend

We do like the shorter lease one best and were thinking of offering the asking price if they would extend the lease.
The offer will be based on them extending the lease - no extension, no sale.

If we offer on the other one it will be way below the asking price as it needs so much doing to it.

Both flats have been for sale for about a year. I think the one hasn't sold because of the short lease, and the other because it needs so much doing. The short lease one has had the price reduced recently.

Yorkie1

If the short lease one has been on the market for a year and recently reduced the price, it rather sounds as though they are not prepared to extend the lease at their own expense prior to exchange. If they were willing to do it, you'd think they'd have done it before now in order to get the place sold.

seven-day-weekend

Yorkie1 wrote: »

If the short lease one has been on the market for a year and recently reduced the price, it rather sounds as though they are not prepared to extend the lease at their own expense prior to exchange. If they were willing to do it, you'd think they'd have done it before now in order to get the place sold.

Yes, we thought that. However, we can try. We will not come down if they will not extend the lease.

seven-day-weekend

We have actually spoken to the vendor of the short lease flat. Price to extend the lease is around 14k (to renew it back up to 99 years). She has not got money upfront to do it, but is prepared to share the cost.

What would be the best way to do this? Bearing in mind she has no money.